Inventory

12 Months Ended

Sep. 30, 2021

Inventory Impairments and Land Option Cost Write-Offs [Abstract]

Inventory

INVENTORIES

At the end of each quarter, the Company reviews the performance and outlook for all of its communities and land inventories for indicators of potential impairment and performs detailed impairment evaluations and analyses when necessary. As of September 30, 2021, the Company determined that no communities were impaired, and no impairment charges were recorded during the three months ended September 30, 2021. There were $5.6 million of impairment charges recorded during fiscal 2021 compared to $1.7 million and $25.7 million of impairment charges recorded in fiscal 2020 and 2019, respectively.

During fiscal 2021, 2020 and 2019, earnest money and pre-acquisition cost write-offs related to land purchase contracts that the Company has terminated or expects to terminate were $23.0 million, $22.1 million and $28.3 million, respectively. Inventory impairments and land option charges are included in cost of sales in the consolidated statements of operations.